$2 dollar club, page-90

Exchange Traded Funds - in particular Van Eck's Gold Miners fund (GDX and GDXJ). These can make up around 10% or more of an ASX300 gold company's ownership. They have to buy and sell with inflows/outflows into the fund - all computer algorithm driven and don't consider price. Typically, people put funds into Gold Miner ETF's when they think gold will go up, and sell when they think it will go down.

Gold stocks are more volatile than most stocks because the larger companies who qualify for these ETFs have big exposures to gold exchange traded funds. You then layer on top all your normal index exchange traded funds (think Vanguard's VAS for example, but others by Blackrock, Van Eck, Russell etc). Then you've got typically hedgies playing the leverage of gold mining companies caused by all this (so like the ETF's if you think gold will go down, short gold miners to get a more leveraged play than the drop in gold price) or they try to beat the ETF's algorithms (huge money in this).